How to Start a Cryptocurrency Business in Dubai, UAE

Multiple new-age entrepreneurs, foreign investors, and new businessmen are searching for a variety of ways to increase their wealth. Among such methods, a new yet modern method to do so that outshines other ones is the cryptocurrency business. It is growing constantly at a lightning-fast speed and getting the attention of people across the globe.  In the near future, the modern digital currency, or we can say the money will most likely turn out to be more famous and useful in commercial transaction activities. Thus, it is a smart move to set up a crypto business in Dubai, UAE.

With several free zones allowing enterprises to be involved in crypto asset management, bitcoin trading, crypto trading, and related activities, the Emirates has become more mainstream.

Organizations and firms are allowed to administer and trade their digital money with a cryptocurrency business license. You can get your hands on this license in the UAE from the:

• Abu Dhabi Global Market (ADGM)
• Dubai Airport Free Zone (DAFZA)
• Dubai Multi-Commodities Center (DMCC)

What is Cryptocurrency?

Digital currencies are rapidly gaining more fame in the UAE, and there is an immensely profitable business opportunity to venture into the sectors of cryptocurrency exchanges, holding, trading, and a huge range of other unique and exciting business opportunities.

How to start a cryptocurrency business in Dubai, UAE is among the topmost discussed topics for newbie entrepreneurs and fresh investors, but before that, we need to develop an understanding of cryptocurrency.

Cryptocurrency or digital currency is decentralized digital money based on the famous blockchain technology. There is no central authority to maintain and manage the value of cryptocurrency. Instead, the currencies are widely distributed between cryptocurrency holders through the internet. 

Some of the famous types of cryptocurrency that are currently available and operational in the market are Dogecoin, Bitcoin, and Ethereum. You can either mine Cryptocurrencies on your own or purchase them from any cryptocurrency exchange. While cryptocurrency may appear to be an asset class, buying it brings a lot of risks. You should have some decent research to completely understand the working of the cryptocurrency system.

Now, the question arises if there is so much risk involved in it, why have they earned so much popularity as means of trading? The reason why cryptocurrencies have become so popular is their skyrocketing value. To some extent, cryptocurrency holders and traders also use them for cross-border transfers.

Requirements for Getting Cryptocurrency License in Dubai, UAE

For regulation purposes, the UAE government has introduced a few eligibility requirements that a person should meet before he or she can submit their application to obtain a cryptocurrency license in the Emirates.

The requirements for acquiring the cryptocurrency license in the UAE are as follows:

• First of all, get the commercial license form given by the Department of Economic Development (DED) in Dubai.
• Then, give the copies of the passports of every partner linked with the business.
• You should have a fully clean and crystal clear crypto wallet record without any fraudulent activity or transaction.
• Post that, make sure that all your capital resources in the business and expenses to run the company are clearly visible for at least six months of business operation.
• You need to incorporate all of your crypto assets with the “UAE financial free zone” departments that are authorized by the UAE government.
• For the last step, you will submit your full business plan to the relevant authorities or government department.

Steps to Set Up a Crypto Business in Dubai

Local crypto enthusiasts and modern-day investors can establish their crypto business in Dubai by going through the steps mentioned ahead:

1. Decide the name of your company
2. Select your preferred economic zone
3. Submit an application for registration of a cryptocurrency license
4. Strictly follow all the compliance regulations

Let us explain the procedure and technicalities involved in each of these steps:

Choosing a Company Name

The very first step is to decide the name of your company that contains no well-known trade names or profane words. Your company’s name needs to be memorable and simple. In addition to that, if you want an individual’s name as your business trademark, it should be his or her real name. No nicknames are allowed.

Selecting a Preferred Jurisdiction

Next up, you have to choose between a free zone or mainland to function your crypto business. Both of the jurisdictions have their own respective benefits and limitations. One of the great advantages of free zones is that there are no currency constraints here. Furthermore, you can also take benefit from the gain and income repatriation. On the flip side, establishing your company on the mainland offers you absolutely effortless access to all the states in the Emirates.

Register for a Cryptocurrency License

After making the above considerations, you are good to register for a cryptocurrency license in Dubai, UAE. Whatsmore, you are allowed to send this application directly to the respective governing department. However, it is a bit hectic for an expatriate to handle various stuff all by themselves. That is why it’s recommended to join hands with the crypto business experts at the Riz and Mona Business Consultancy.

Follow All the Compliance Regulations

Traditional financial trades and Bitcoin trading, both of the tradings are supervised in the exact same way in Dubai. That is why you should have the right license, and also abide by all the anti-money laundering regulations. Any carelessness at this step can result in business repercussions.

Steps for Getting a cryptocurrency license in Dubai

• Download and fill up the application form for a cryptocurrency license from the respective government body of the place where you want to establish your company in Dubai.
• Attach and submit the form with the name of and names of all shareholders of your company.
• Provide all demanded documents to the relevant government body where you are establishing your company.
• Pay the application fees to the relevant government body that is responsible for issuing a cryptocurrency license to you.
• If all are checked out with the application form and official legal documents of the company, the relevant authorities will give you the cryptocurrency business license within the approval of one week.

Where to Get the Cryptocurrency License in Dubai

Before setting up a cryptocurrency business in Dubai, you should get a cryptocurrency license in the UAE. At the present time, three of the free zones are providing cryptocurrency licenses throughout the country. They are:

• Abu Dhabi Global Market (ADGM)
• Dubai Airport Free Zone (DAFZA)
• Dubai Multi-Commodities Center (DMCC)

Dubai Multi-Commodities Centre (DMCC)

The DMCC is extremely open to accepting the introduction and addition of cryptocurrency. They offer cryptocurrency licenses for new businessmen and entrepreneurs in Dubai. People from different parts of the globe come to DMCC to obtain their cryptocurrency license in the Emirates. 

The DMCC cryptocurrency license in Dubai enables you to do business activities such as providing cryptocurrency-related services,  trading, storing cryptocurrency, management, developing cryptocurrency-related apps and software, and much more. Plus, you can offer consultation and advisory services with the cryptocurrency license in the city.

DMCC has launched a new cryptocurrency center and plans to be the middle for every blockchain-related activity in Dubai. Dubai is already known as the largest world leader in technology and the addition of the latest technologies like blockchain and crypto-only bolstered its position. The DMCC cryptocurrency license has an extremely vital part to play in this achievement.

Dubai Airport Free Zone Authority (DAFZA)

DAFZA stands for Dubai Airport Free Zone Authority. This is another free DMCC in Dubai that easily accepted the addition of cryptocurrencies. They signed an agreement with the ESCA (The UAE Securities and Commodities Authority) that assisted them to support fresh businessmen and entrepreneurs who wanted to do wonderful business activities associated with crypto. 

By granting cryptocurrency licenses in Dubai, they enabled businesses in the area. By obtaining a cryptocurrency license from the DAFZA, companies can use crypto assets for conducting different business activities. 

Furthermore, they can offer services to foreign investors visiting Dubai from across the globe. Due to the DAFZA’s strong regulatory framework, companies within their borders can effortlessly conduct their business.

They are going ahead with the goal to raise the growth and acceptance of digital currencies such as Dogecoin, Bitcoin, Ethereum, etc.

Abu Dhabi Global Market (ADGM)

Financial Services Regulatory Authority (FSRA)-regulated crypto assets are permitted to function in Abu Dhabi Global Market (ADGM). FSRA is the regulatory body that handles all cryptocurrency-related assets in the Emirates.

At the present time, It is the only legal government body that has a huge regulatory framework for crypto licenses in the UAE. ADGM in partnership with FRSA has published a guideline about the usage of cryptocurrency licenses in the country for the betterment of small and big businesses across the Emirates.

How Riz and Mona Can Help

After coming to know about the importance of cryptocurrency and its trade, you must be thinking of registering a crypto company in UAE right away. But it is a strenuous process. But fret not, Riz and Mona can help you out. Experts at Riz and Mona understand and map the cryptocurrency industry well to meet your demands with ease. We help you throughout the process of establishing a cryptocurrency business in Dubai, UAE. 

Riz & Mona Consultancy has built a team of well-trained sales professionals who specialize in the field of cryptocurrency and innovative technologies. We offer affordable services and help businessmen and newbie entrepreneurs along the way and make ever-lasting business relationships with them. So, what are you waiting for? Contact us now and book your free appointment.